Blue Lantern License 050205274 Response

UNCLAS GABORONE 001024 SIPDIS STATE FOR PM/DTCC - BLUE LANTERN COORDINATOR STATE FOR KYLE M. BALLARD E.O. 12958: N/A TAGS: PARM ETRD ECON BC SUBJECT: Blue Lantern License 050205274 Response REF: STATE 128516 ¶1. SUMMARY. In response to action request contained reftel, post spoke to Mr. Maheshbhai Patel of Clover Industrial Supplies ("Clover") and the Deputy Commissioner of the Botswana Police Service ("BPS") - Support Services to obtain information related to the pre-license check for Clover. Post has confirmed with the BPS that Clover's order conforms to their requested order, that Clover is in possession of a valid import license and that the BPS will take possession of the items upon their entry into Botswana. Post has no detrimental information to convey related to this enquiry. END SUMMARY. -------------- Clover Industrial Supplies -------------- ¶2. Clover was established in 1987. Its principals are Mr. Maheshbhai Patel and Stanly Timuhwe. The parent company, Clover Group, consists of Clover Industrial Supplies and Harvey World Travel. (Note. Currently, Harvey World Travel is the Embassy's contracted travel agent. End note.) Harvey World Travel's principals are also Maheshbhai Patel and Stanley Timuhwe. Clover is located in a well established strip mall in the middle of Gaborone. The office has a shop in the front, which is open to the public, and the offices are in the back. The shop/office has been in this location since Clover opened in 1987. ¶3. Clover trades in and provides the following in its normal course of business: hospital supplies (lab, medical equipment and consumables),cleaning chemicals and equipment, police, civil defense and military uniforms and protective clothing and aircraft equipment. Mr. Patel stated that the company's email address is cloverchemicals@mega.bw because the majority of elements the company deals with involve chemicals. Regular customers of Clover are: the Government of Botswana, major companies residing in Botswana such as Botswana Meat Commission, Debswana Diamond Mining Company, and the Botswana Telecommunications Corporation. Clover supplies all the above companies with their industrial and supply needs. ¶4. The ordered supplies will be the first U.S. origin defense articles that Clover has sold. Clover does not sell any defense articles to customers that reside outside Botswana. In the present case, Clover became involved with ordering defense articles after it won a government tender to supply the BPS with the ordered items. After winning the tender, Clover approached UK based Quartermasters Ltd. ("Quartermaster") and requested that Quartermaster assist them by obtaining quotations from various suppliers. In order for Clover to service the tender, Clover had to obtain an import permit from the Central Arms Registry, which is an oversight mechanism within the Government of Botswana set up to monitor and regulate the import and movement of dangerous goods, such as guns and explosives. Clover will not have physical possession of the defense articles listed at any point. The BPS will escort the articles from the port of entry to their warehouse. ¶5. Mr. Patel stated that Clover is familiar with the regulations governing U.S. origin defense articles. He said that Clover is in possession of a "United States of America NONTRANSFER AND USE CERTIFICATE" that stipulates restrictions on unauthorized re-transfer or re-export, and that Clover had reviewed the document and was now familiar wih its contents. Mr. Patel, who is a member Qand wa now familiar with its contents. Mr. Patel, who is a member of the American Business Council (ABC),also said he decided to source the articles from the U.S. market after he had a discussion at ABC about involving the U.S. market. -------------- Botswana Police Service -------------- ¶6. The BPS confirmed that the items contained in the order matched what the BPS requested in both type and quantity. The BPS also confirmed that in addition to 170,000 rounds of ammunition, 7.62 x 39mm ball, 2 C4 RDX plastic explosives, and 1,000 ALSG972 smoke grenades, there were also detonation devices ordered. All of the items ordered will be used by the BPS for law enforcement training or other law enforcement activities. ¶7. Deputy Commissioner Ikwatlhaeng G. Bagopi confirmed that the import permit issued by the Central Arms Registry, which is titled as an "Acquisition Permit" but "Acquisition" is crossed out and "Import" is handwritten, is a valid import permit. He further stated that the document could function in either/both capacities. Regarding Clover's role in this transaction, the Deputy Director stated that Clover only sources the items and negotiates the prices and will not ever have physical possession of the items as the BPS will pick them up directly from customs at the airport. Deputy Commissioner Bagopi had nothing further that he wanted to add to the inquiry. HAMILTON